Distribution identity
For $a>0$ and $t>0$,
$$ \mathbb P\left(\max_{0\le s\le t} B_s\ge a\right)
\mathbb P(|B_t|\ge a). $$
Interpretation
The running maximum of Brownian motion over $[0,t]$ has the same distribution as the absolute value of the endpoint $|B_t|$.
Source
This follows immediately from the reflection principle:
$$ \mathbb P\left(\max_{0\le s\le t} B_s\ge a\right)
\mathbb P(T_a\le t)
2\mathbb P(B_t\ge a)
\mathbb P(|B_t|\ge a). $$
Source Links
- STA447
- Phase 6 Atomic Reading Order
- Phase 6 — Brownian Motion 基础
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